supply chain network design · logix supply chain optimization and distribution network design...
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Copyright © 2019 Logistix Solutions LLC. All Right Reserved.
SUPPLY CHAIN NETWORK DESIGN
An Instant Assessment of Eastern
and South East US Distribution
including only Domestic Suppliers
Logix On-Demand is a free service that
allows you to compare your distribution
network to the ‘Optimum’ network using
Logistix Solutions’ Logix Supply Chain
Optimization software. This assessment is
an approximation only. A complete network
design would require additional input and
refinements.
Contact [email protected] for a free comparison using your current distribution center locations.
___________ … _____________
LOGISTIX SOLUTIONS IS ONE OF THE LEADING PROVIDERS OF ON-DEMAND SUPPLY CHAIN OPTIMIZATION SOLUTIONS. LOGIX SOFTWARE IS USED BY FORTUNE 500 COMPANIES, THIRD PARTY LOGISTICS PROVIDERS, CONSULTANTS AND FAST-GROWING ENTERPRISES WORLDWIDE TO OPTIMIZE THEIR DISTRIBUTION NETWORKS FOR OPTIMUM PERFORMANCE, SERVICE AND COST.
Copyright © 2019 Logistix Solutions LLC. All Right Reserved.
Domestic Assessment Model
US based distribution to
customers located in Eastern and
South East United States. Supply
from Domestic locations only.
Suppliers
Candidate DCs
Customers
Logix optimally selects the optimum combination of distribution centers from among 50 of the most widely used locations in the United States using average US based transportation rates and wages for each State. Demand data is represented by population data for all 3-Digit Zip Codes in the United States.
Single Site Solution
Winston-Salem NC
Inbound Cost: $2,910,114
Outbound Cost: $7,132,723
Warehousing Cost: $990,567
Total Cost: $11,033,404
Unique Proximity Radar View Logix pinpoints the exact optimum location with a potential for an additional reduction in cost located in Lynchburg VA. The potential reduction in cost is about 1% (indicated by 1% slightly North East of Winston-Salem NC). The red percentages show potential increase in cost in 50-mile increments.
Copyright © 2019 Logistix Solutions LLC. All Right Reserved.
Two Site Solution
Atlanta GA and
Allentown PA
Inbound Cost: $2,933,443
Outbound Cost: $3,740,588
Warehousing Cost: $853,504
Total Cost: $7,527,535
Predictive Analytics
ProLogix’ Predictive Analytics pinpoints each of your supply chain problem areas including a comparison of average vs site specific cost and service for each customer location. The transportation cost for Charlotte NC distributed from Atlanta GA is critically above average, shown in red in this example, whereas the service level, shown in green is about average.
Capacity Limitations
The Atlanta, GA facility is at
97.6% of its capacity limit of
65,000 square feet. Predictive
Analytics highlights this in red
as well as estimating the total
number of SqFt for the DC at
63,435.
Copyright © 2019 Logistix Solutions LLC. All Right Reserved.
Three Site Solution
Atlanta GA,
Allentown PA and
Miami FL
Inbound Cost: $3,108,316
Outbound Cost: $3,084,321
Warehousing Cost: $898,588
Total Cost: $7,091,225
Charts, Analytics and Metrics
Complete the picture showing
potential trouble spots, capacity issues, long term trends, best and worst case service and cost and areas for potential improvement.
Number of DCs vs Cost
The optimum number and
location of Distribution Centers
is two (2) sites if each DC has a
fixed cost of $1MM per year.
Logix can also incorporate
pooling facilities, cross docks,
inventory costs, green house
gas emissions, greenfield,
DC capacities and other factors
in its optimum calculations.
East and South East US Distribution / Domestic Supply
1 2 3 4 5
Logix Optimum Distribution Winston-Salem NCAtlanta GA Atlanta GA Atlanta GA Atlanta GA
Locations Allentown PA Allentown PA Allentown PA Allentown PA
Miami FL Miami FL Miami FL
Greensboro NC Winston-Salem NC
Memphis TN
Total Cost $11,033,404 $7,527,535 $7,091,225 $6,765,046 $6,504,216
Total Cost w/Fixed Whse $1M $12,033,404 $9,527,535 $10,091,225 $10,765,046 $11,504,216
Next Day Svc 64% 92% 98% 98% 100%
$0
$5,000,000
$10,000,000
$15,000,000
1 2 3 4 5 6
Number of Distribution Center Locations vs Total Cost
Copyright © 2019 Logistix Solutions LLC. All Right Reserved.
Free Assessment of Your Distribution Network
For a free assessment of your distribution network compared to this model supply chain, contact [email protected]. Just tell us the location of your distribution centers and we’ll send you a free analysis and comparison via email. Here’s an example of what you’d receive showing a side by side comparison of your distribution network and the ‘optimum’ solution if your distribution centers are located in Indianapolis and Los Angeles.
Example of “Your Network”
Indianapolis IN and
Los Angeles, CA
Inbound Cost: $7,197,990
Outbound Cost: $18,881,696
Warehousing Cost: $2,469,988
Total Cost: $28,549,674
Two Site Optimum Solution
Lexington, KY and
Reno, NV
Inbound Cost: $7,197,052
Outbound Cost: $18,501,781
Warehousing Cost: $2,293,807
Total Cost: $27,992,640
Savings Potential: $557,034
If you’d like to add more details or make further refinements to the assessment model, download the Logix Supply Chain Optimization and Distribution Network Design software and we’ll help you set up your supply chain model.
Contact [email protected] for a free demo or for a subscription to Logix or call us at 571 426 5951. You can also visit www.logistixsolutions.com for more information.